Diesel drivers hit with 'concerning' charges at pumps

Diesel drivers are among those hit with "concerning" charges at petrol stations, with road users paying more than they should, according to experts. The Competitions and Market Authority (CMA) has claimed retail fuel margins "remain high" with diesel customers paying more at the pumps than wholesale prices.

Analysis suggests petrol and diesel owners pay an additional £1.6billion per year as a result of "increased retailer fuel margins". The news is set to be a blow for cash-strapped road users with diesel costs already on the up in recent weeks.

The CMA said: "Overall, retail spreads and fuel margins remain high compared to historic levels, as has continued to be the case for most of the period since our market study. As at the time of our market study, the CMA remains concerned about the intensity of retail competition between fuel retailers.

"We estimate that the increase in retailers' fuel margins compared to 2019 resulted in increased fuel costs for drivers in 2023 of over £1.6bn. The persistence in elevated spreads and margins emphasises the importance of implementing our recommendations in full as soon as possible."

According to the CMA, the pump price of diesel has increased by 3.5p per litre between May and the end of August. Meanwhile, the diesel retail spread fluctuated over the period, decreasing from around 16.5p per litre in May 2025 to a low of around 7.5p in mid-June 2025.

Retail margins then increased to a high of 17.0p per litre in mid August 2025 before finishing at 15.5p per litre by the end of the month.

The CMA said part of the increase can be explained by an increase in crude oil prices, which have increased by 0.8p per litre over the period. However, the CMA has demanded action, calling for a new fuel finder scheme to give drivers access to live, station-by-station fuel prices.

Labour has recommitted to a fuel finder scheme with the policy expected to come into effect by the end of the year. However, the Petrol Retailers Association (PRA) has warned that the CMA data does not take into account an increase in fuel station operating costs.

Gordon Balmer, executive director of the Petrol Retailers Association (PRA) said: "The latest CMA report is incomplete as it continues to benchmark current fuel margins against eight-year-old data. PRA continues to reinforce that operating costs for fuel retailers have increased substantially during this period.

"Rising costs of borrowing, increased labour costs due to successive national minimum wage hikes, higher business rates, increased employer National Insurance contributions, soaring energy bills and escalating crime levels all contribute to the financial pressures facing forecourt operators. These are crucial factors when assessing fuel pricing. Our members remain committed to fair pricing."